ROVE: I didn't say she had brain damage. She had a serious health episode. Every presidential candidate has asked for all of their health records by the "New York Times". They turn them over to a -- and vice presidential candidates -- they turn them over to a battery of doctors and they examine them in detail. And my point was that everybody says she is going to run and she probably is but I would bet it's a more complicated calculation than we might think.

(END VIDEO CLIP)

O'REILLY: Well, Mr. Rove's opinion not going down real well with the Clintons or the Democratic Party, which is counting heavily on Hillary Clinton to run for president in 2016.

Today, Bill Clinton said this.

(BEGIN VIDEO CLIP)

CLINTON: First they said she faked her concussion. And now they say she is auditioning for a part on "The Walking Dead".

She works out every week. She is strong. She is doing great. As far as I can tell, she is in better shape than I am.

(END VIDEO CLIP)

O'REILLY: Now, is this important? No, it's not. Is it amusing? Somewhat. A catfight between a political big shot like Rove and the most powerful woman in the country, Mrs. Clinton, it's always great theater.

But "Talking Points" believes Republicans should lay off Hillary Clinton for the moment. What the GOP should be doing is convincing American voters of two things.

First, that President Obama's social justice policies have strangled the economy and are causing the salaries of American workers to decline. There is plenty of proof of that accusation. Obamacare has inhibited hiring. Heavy taxation hurts consumer spending and economic uncertainty prevents investment. That's the key issue of this year's midterm elections and the Presidential election of 2016.

The secondary issue is that through Mr. Obama's policies in general, America is becoming a nation of grievances. We, the people, are getting away from self-reliance and into entitlement. The big stat is that 35 percent of American homes receive some kind of government aid. And that doesn't include Social Security or Medicare, which we're entitled to because we pay into it.

So the mentality is shifting away from I'm going to make it to you're going to give it. The President has promoted income inequality, gender inequality everything inequality. And it's all American society's fault. So that taxpayers have to pony up.

Now, that's pure B.S. and that entitlement attitude is crushing, crushing ambition in this country. We all know people who believe they are owed a living. We all know folks who want free stuff. And that population is growing. Of course, America can't afford it, as we owe $17.5 trillion right now.

But getting folks to understand exactly how the entitlement society is strangling the economy is a big winner for the Republican Party. Hillary- bashing pales next to that.

And one final note. On Monday I said that you cannot blame the Benghazi terror attack on Hillary Clinton who was then Secretary of State. I explained that any Secretary of State is not in charge of security for individual countries. That's done by others. The secretary is largely a figure-head whose job is directed by the President. That's why Mrs. Clinton and now John Kerry are now running around all over the place.

After making my case I got letters calling me all kinds of names because I didn't condemn Mrs. Clinton over the Benghazi attack. Now let me break this to everybody, hating someone like Hillary Clinton, like President Bush, the younger, like President Obama gets you nowhere. If you want your policies to be enacted, you have to convince non-ideological folks to see it your way. And that's what we try to do here. And we try to be fair. And that's "The Memo."